MONTREAL, Feb. 12, 2014 /CNW Telbec/ - Laurentian Bank of Canada
released today a Selected Financial Information package presenting its
unaudited quarterly and full year financial results for 2013 reflecting
changes related to the Bank's adoption of the amendments to the
existing International Financial Reporting Standards (IFRS) accounting
standard on employee benefits, IAS 19, with retrospective application
effective November 1, 2012 as well as a realignment of its reportable
segments. The Selected Financial Information package is available on
the Bank's website at www.laurentianbank.ca.

The release of the Bank's unaudited Selected Financial Information for
the period ended October 31, 2013, provides a detailed view of the key
impacts of the above changes on its financial results for 2013, which
will prove useful when analyzing the Bank's financial results for the
upcoming quarters. The following table summarizes the impact of the
retrospective application of the amended standard on the Bank's
financial performance for each quarter and for the year ended in 2013,
and should be read in conjunction with the Future Changes to Accounting
Policies section presented on page 61 of the Bank's 2013 Annual Report
available at www.laurentianbank.ca.

Key Performance Indicators for 2013

FOR THE THREE MONTHS ENDED

FOR THE
YEAR ENDED

In thousands of Canadian dollars, except per share and percentage
amounts (Unaudited)

OCTOBER 31
2013

JULY 31
2013

APRIL 30
2013

JANUARY 31
2013

OCTOBER 31
2013

Net income

Net income - previously reported

$

27,167

$

28,284

$

35,139

$

34,090

$

124,680

Impact of adoption of IAS 19 - net of income taxes

(1,301)

(1,300)

(1,300)

(1,302)

(5,203)

Net income - amended

$

25,866

$

26,984

$

33,839

$

32,788

$

119,477

Diluted earnings per share

Previously reported

$

0.86

$

0.91

$

1.10

$

1.12

$

3.99

Amended

$

0.82

$

0.86

$

1.05

$

1.07

$

3.80

Return on common shareholders' equity [1]

Previously reported

7.7

%

8.1

%

10.3

%

10.3

%

9.1

%

Amended

7.6

%

8.1

%

10.4

%

10.3

%

9.1

%

Adjusted financial measures [1] [2]

Adjusted net income [1] [2]

Adjusted net income - previously reported

$

35,220

$

39,847

$

40,547

$

40,418

$

156,032

Impact of adoption of IAS 19 - net of income taxes

(1,301)

(1,300)

(1,300)

(1,302)

(5,203)

Adjusted net income - amended

$

33,919

$

38,547

$

39,247

$

39,116

$

150,829

Adjusted diluted earnings per share [1] [2]

Previously reported

$

1.14

$

1.31

$

1.29

$

1.34

$

5.09

Amended

$

1.10

$

1.27

$

1.24

$

1.30

$

4.91

Adjusted return on common shareholders' equity [1] [2]

Previously reported

10.2

%

11.8

%

12.1

%

12.2

%

11.6

%

Amended

10.2

%

12.0

%

12.2

%

12.5

%

11.7

%

[1]

Refer to the Non-GAAP financial measures section.

[2]

Adjusted measures are based on the Bank's core activities and therefore
exclude the effect of certain amounts designated as adjusting items.
These items mainly relate to integration-related costs that arise as a
result of the acquisitions of the MRS Companies and AGF Trust.

As shown in the table above, adjusted net income totalled $150.8 million
or $4.91 diluted per share for the year ended October 31, 2013,
compared with $156.0 million or $5.09 diluted per share previously
reported, essentially as a result of the $7.1 million charge ($5.2
million net of income taxes) resulting from the adoption of the amended
version of the IFRS accounting standard on employee benefits. Adjusted
return on common shareholders' equity as amended was 11.7% for the year
ended October 31, 2013, compared with 11.6% as previously reported.

When including adjusting items, net income totalled $119.5 million or
$3.80 diluted per share for the year ended October 31, 2013, compared
with $124.7 million or $3.99 diluted per share previously reported.
Return on common shareholders' equity as amended remained unchanged at
9.1% for the year ended October 31, 2013.

Nature of Adjustments

The adjustments that impacted the Bank's financial statements are
presented below.

Employee benefits

In June 2011, the IASB issued an amended version of IAS 19, Employee
Benefits, which is effective for annual periods beginning on or after
January 1, 2013, which was November 1, 2013 for the Bank, and is to be
applied retrospectively.

The amendments to IAS 19 eliminate the option to defer the recognition
of gains and losses resulting from defined benefit plans, known as the
"corridor method", which was historically used by the Bank, and
requires that remeasurements be presented in shareholders' equity.
Accordingly, actuarial gains and losses will now be recognized in other
comprehensive income as they occur, and may not subsequently be
reclassified to the statement of income. The Bank elected to transfer
those amounts within retained earnings.

The amendments also require recognition of expected return on plan
assets in net income to be calculated based on the rate used to
discount the defined benefit obligation, and full recognition of past
service costs (gains) immediately in net income.

The impact of the adoption of this amended standard is shown in the
tables below.

Impact on consolidated net income and comprehensive income

FOR THE THREE MONTHS ENDED

FOR THE
YEAR ENDED

In thousands of Canadian dollars, except per share amounts (Unaudited)

OCTOBER 31
2013

JULY 31
2013

APRIL 30
2013

JANUARY 31
2013

OCTOBER 31
2013

Increase in salaries and employee benefits

$

1,778

$

1,777

$

1,777

$

1,779

$

7,111

Decrease in income taxes

(477)

(477)

(477)

(477)

(1,908)

Decrease in net income

$

(1,301)

$

(1,300)

$

(1,300)

$

(1,302)

$

(5,203)

Increase in actuarial gains and losses on employee benefit plans (net of
income taxes)

5,103

19,832

(6,638)

2,348

20,645

Increase (decrease) in comprehensive income

$

3,802

$

18,532

$

(7,938)

$

1,046

$

15,442

Impact on consolidated shareholders' equity

AS AT

In thousands of Canadian dollars (Unaudited)

OCTOBER 31
2013

JULY 31
2013

APRIL 30
2013

JANUARY 31
2013

NOVEMBER 1
2012

Retained earnings - previously reported

$

829,678

$

819,371

$

807,788

$

792,669

$

774,899

Impact of adoption of IAS 19 - net of income taxes

(53,422)

(57,224)

(75,756)

(67,818)

(68,864)

Retained earnings - amended

$

776,256

$

762,147

$

732,032

$

724,851

$

706,035

Impact on regulatory capital

The adoption of this amended standard has reduced Common Equity Tier 1
capital by $31.2 million as at November 1, 2013. As reported earlier,
on a pro forma basis, the Common Equity Tier 1 capital ratio as at October 31, 2013
would have been reduced by approximately 0.2% to 7.4%.

Realignment of reportable segments

Commencing November 1, 2013, the Bank will report its retail and
commercial activities, which were previously reported in the Retail &
SME-Québec and Real Estate & Commercial business segments, in the newly
formed Personal & Commercial segment. The new business segment will
better reflect the interdependencies associated with these activities.
In addition, the new segments will more closely align the Bank's
reporting to the industry practice. The B2B Bank and Laurentian Bank
Securities & Capital Markets segments are not affected by this
realignment. Comparative figures were reclassified to conform to the
current presentation. Furthermore, certain restructurings implemented
in the fourth quarter of 2013 resulted in small adjustments to segment
allocation. The following table presents amended key financial measures
for the year ended October 31, 2013.

FOR THE YEAR ENDED OCTOBER 31, 2013

In thousands of Canadian dollars (Unaudited)

PERSONAL &
COMMERCIAL

B2B BANK

LAURENTIAN
BANK SECURITIES &
CAPITAL MARKETS

OTHER

TOTAL

Total revenue (loss)

$

578,109

$

227,633

$

67,831

$

(8,236)

$

865,337

Net income (loss)

$

101,917

$

30,851

$

10,852

$

(24,143)

$

119,477

Average assets

$

17,614,241

$

9,338,540

$

3,073,257

$

4,172,639

$

34,198,677

For more detailed information on the quarterly amended results, refer to
the unaudited Selected Financial Information released today.

Other new accounting standards

The adoption of the new IFRS accounting standards on consolidation and
fair value measurement on November 1, 2013 did not have any significant
impact on the Bank's financial statements.

Caution Regarding Forward-looking Statements

In this document and in other documents filed with Canadian regulatory
authorities or in other communications, Laurentian Bank of Canada may
from time to time make written or oral forward-looking statements
within the meaning of applicable securities legislation.
Forward-looking statements include, but are not limited to, statements
regarding the Bank's business plan and financial objectives. The
forward-looking statements contained in this document are used to
assist the Bank's security holders and financial analysts in obtaining
a better understanding of the Bank's financial position and the results
of operations as at and for the periods ended on the dates presented
and may not be appropriate for other purposes. Forward-looking
statements typically use the conditional, as well as words such as
prospects, believe, estimate, forecast, project, expect, anticipate,
plan, may, should, could and would, or the negative of these terms,
variations thereof or similar terminology.

By their very nature, forward-looking statements are based on
assumptions and involve inherent risks and uncertainties, both general
and specific in nature. It is therefore possible that the forecasts,
projections and other forward-looking statements will not be achieved
or will prove to be inaccurate. Although the Bank believes that the
expectations reflected in these forward-looking statements are
reasonable, it can give no assurance that these expectations will prove
to have been correct.

The Bank cautions readers against placing undue reliance on
forward-looking statements when making decisions, as the actual results
could differ considerably from the opinions, plans, objectives,
expectations, forecasts, estimates and intentions expressed in such
forward-looking statements due to various material factors. Among other
things, these factors include capital market activity, changes in
government monetary, fiscal and economic policies, changes in interest
rates, inflation levels and general economic conditions, legislative
and regulatory developments, competition, credit ratings, scarcity of
human resources and technological environment. The Bank further
cautions that the foregoing list of factors is not exhaustive. For more
information on the risks, uncertainties and assumptions that would
cause the Bank's actual results to differ from current expectations,
please also refer to the Bank's Annual Report under the title "Risk
Appetite and Risk Management Framework" and other public filings
available at www.sedar.com.

With respect to the anticipated benefits from the acquisition of the AGF
Trust Company1 (AGF Trust) and the Bank's statements with regards to this transaction
being accretive to earnings, such factors also include, but are not
limited to: the fact that synergies may not be realized in the time
frame anticipated; the ability to promptly and effectively integrate
the businesses; reputational risks and the reaction of B2B Bank's or
AGF Trust's customers to the transaction; and diversion of management
time on acquisition-related issues.

The Bank does not undertake to update any forward-looking statements,
whether oral or written, made by itself or on its behalf, except to the
extent required by securities regulations.

Non-GAAP Financial Measures

The Bank uses both generally accepted accounting principles (GAAP) and
certain non-GAAP measures to assess performance. Non-GAAP measures do
not have any standardized meaning prescribed by GAAP and are unlikely
to be comparable to any similar measures presented by other companies.
These non-GAAP financial measures are considered useful to investors
and analysts in obtaining a better understanding of the Bank's
financial results and analyzing its growth and profit potential more
effectively.

Effective November 1, 2013, the Bank has modified its definition of
common shareholders' equity, as detailed below. All ratios for the
quarters and for the year ended in 2013 have been amended. For more
information on other non-GAAP financial measures, see page 62 of the
Bank's 2013 Annual Report.

Common shareholders' equity

The Bank has defined common shareholders' equity as the sum of the value
of common shares, retained earnings and accumulated other comprehensive
income, excluding cash flow hedge reserves. This definition is now
better aligned with regulatory requirements.

About Laurentian Bank

Laurentian Bank of Canada is a banking institution whose activities
extend across Canada. Recognized for its excellent service, proximity
and simplicity, the Bank serves one and a half million clients
throughout the country. Founded in 1846, it employs some 4,000 people
who make it a major player in numerous market segments. The institution
has $34 billion in balance sheet assets and more than $37 billion in
assets under administration.

Laurentian Bank distinguishes itself through the excellence of its
execution and its agility. Catering to the needs of retail clients via
its extensive branch network and constantly evolving virtual offerings,
the Bank has also earned a solid reputation among SMEs, larger
businesses and real estate developers thanks to its growing presence
across Canada and its teams in Ontario, Québec, Alberta and British
Columbia. For its part, the organization's B2B Bank subsidiary is a
Canadian leader in providing banking and investment products and
services to financial advisors and brokers, while Laurentian Bank
Securities is an integrated broker that is also widely known for its
expert and effective services nationwide.

Access to Other Materials

Interested investors, the media and others may review this press release
and the Selected Financial Information for the period ended October 31,
2013 which are posted on our web site at www.laurentianbank.ca.

________________________________1 AGF Trust was amalgamated with B2B Bank as of September 1, 2013.